Is the Phoenix, AZ. Area a good place to start rental properties?

Question

My husband and I are from Socal, and moved up to Washington state last year. It's not as cheap as we thought it was going to be up here and for me its way too cold. We are really interested in owning rental properties one day. I truly like AZ, the heat and the prices seem much better down there. I'm just wondering is the market good down there? I know Zillow isnt the best place to look but I look on there and it seems good.

Also, is it possible to buy a house in AZ before we move there. I dont wanna waste money on another apartment when we plan on buying a house and a few anyways. What is everyone's thoughts?

Thank you for your time! :)

Also, is it possible to buy a house in AZ before we move there. I dont wanna waste money on another apartment when we plan on buying a house and a few anyways. What is everyone's thoughts?

Thank you for your time! :)

Account Closed · Answer

I'm from Seattle. Phoenix is much better.

Bob Okenwa · Answer

@Trisha Brown

The Phoenix market has been performing very well the last few years and is predicted to do so again this year. Many pundits cite the job growth, vacancy, income needed to afford a home, lower taxes, and home pricing as the major factors that make the market so attractive.

Not sure if you've been to Phoenix in the summer before, but if it's heat you want, you'll get it and then some. Zillow, Trulia, Redfin, etc. are fine for looking for personal residences and give you the basic information you need to see what is available.

Yes you can buy a home before moving out here, though I'd suggest you take time to visit and get very familiar with the city before making a decision on anything. Good luck and happy house-hunting!

Cory K Bente · Answer

@Trisha Brown several banks have been lowering costs by dumping expensive r.e. and investing in areas with lower costs. Tempe AZ seems to be a meca for bank call centers / telephone services. Ive been wanting to deep dive this market. I am interested in reading what others post on this thread.

Jeff Schneider · Answer

@Trisha Brown You must go to the river in Parker? Love going to the river in the summer! There are several lakes around the greater Phoenix area to go to as well.

Mychal T. · Answer

I have lived in Phoenix for 12 years and love it. We usually hit 100 degrees mid-late April and get out of 100 degree days in mid-October. Google says the average high temperature in the summer is 104-106, which surprised me. I would have guessed higher. I think one of the things that makes the heat hard to deal with sometimes is that it doesn't cool down much at night. We're still in the 80s and 90s in the evening so there isn't much relief from the heat outside. And, as I stated before, we have 100-degree days a good six months of the year. That being said, everything is well air-conditioned here to deal with the heat. I think Phoenix is a great city that offers many of the benefits of other big cities but without the excessive expenses and traffic.

Trisha Brown · Answer

@Pamela Sandberg

Thank you so much. Yes I am hearing just like any city there are areas that aren't the safest for a daily living.

I am originally from orange country ca. And the heat there has been pretty hot, triple digits a lot of the summer. And I have been to the river when it was 126. How hot is it really during summer? I'm sure some days are hotter then others. But what is an average.

Pamela Sandberg · Answer

The Phoenix market has had good, steady growth pretty much since 2008. More importantly - it's been sustainable. So yes, I personally think Phoenix is a great place to invest!

And yes, it is absolutely possible to buy a place before moving. It will be important to find an agent who you really, really trust, as he or she will be doing a lot of the scouting, inspections, etc. It's also important to get familiar with the market. There are good STR rental opportunities, but they aren't in the same location as the good LTR rental opportunities. Some areas of town are appreciating faster than others. And of course - what part of town do you actually want to live in on a daily basis? All things to consider.

Hope this helps! Happy to answer any specific questions you might have.

Trisha Brown · Answer

@Bob Okenwa

I think I have been to Phoenix before, but when I was very young.  Now I have been to parker Az. Many times in the summer and that is my paradise. That's where I want my vacations to primarily be.  But I do plan on visiting. That's something we did not do before moving to Washington state.

Trisha Brown · Answer

@Ryan Swan

Thank you for that. And yes I want to relocate all together.

Ryan Swan · Answer

@Trisha Brown the market here is robust, healthy, and growing both in supply and high demand from people like yourself wanting to relocate here.  Prices are lower relative to almost all other major metro cities (certainly all in the West, but comparable to Vegas). Our property taxes are so low that clients often ask me if the stated tax is correct!

I wasn't clear on if you were looking to invest here out of state, or if you primary goal was to relocate to AZ all together? There are different strategies and options for either scenario!

Is the Phoenix, AZ. Area a good place to start rental properties?

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